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Austrian Airlines Switches to Airbus for Short and Mid-Range Flights

07/13/2012| 11:37am US/Eastern
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By Barbara Millner

Deutsche Lufthansa AG (>> Deutsche Lufthansa AG) unit Austrian Airlines said Friday it has signed letters of intent for five of seven planned Airbus A320 purchases in an effort to switch to only using Airbus on short and mid-range flights.

The seven Airbus A320 are to replace Boeing Co.'s (>> The Boeing Company) Boeing 737 aircraft and two planes have already been delivered to the loss-making airline, which aims to reduce costs by standardizing the fleet.

The Airbus planes will all be in operation for 2013's summer season with the first new plane joining the fleet in October. The Boeing fleet will be removed from operations one plane at a time.

Austrian Airlines intends to continue using Boeing planes for long-distance flights.

Write to Barbara Millner at barbara.millner@dowjones.com

Stocks mentioned in the article : Deutsche Lufthansa AG, The Boeing Company
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